July 16, 2015 Minneapolis City of Lakes Community Planning & Economic Development Sheila Caplis USAgain, LLC 1555 W. Hawthorne Lane, 4W West Chicago, Ill. 60185 Dear Ms. Cap lis; Licenses and Consumer Services Division 350 South 5th Street - Room 1C Minneapolis MN 55415-1391 Office: 612-673-2080 Fax: 612-673-3399 TTY: 612-673-2157 RE: Applications for City of Minneapolis Donation Collection Bin Licenses. (Application numbers: L324-50007 to l324-50017) Dear Ms. Caplis: This notice is being issued to advise you that the Community Planning and Economic Development Department is making a recommendation to the Minneapolis City Council that the applications for donation collection bin licenses submitted by USAgain, llC., and Mattias Wallander be denied: At issue are the following concerns: 1. USAgain, llC provided false information on City of Minneapolis business license applications with respect to the true ownership and management of the company. th a. On November 5 , 2014 license applications were received that declared the ownership of USAgain llC. as: Mattias Wallander Janis Bostic 10% owner 25% owner th b. On January 8 , 2015 amended license applications were received that declared the ownership of USAgain lLC. as: Mattias Wallander Janis Bostic USAgain Holdings LLC. c. th On February 13 , 2015 amended license applications were received that declared the ownership of USAgain LLC. as: Mattias Wallander USAgain Holdings LLC. www.minneapolismn.gov Affirmative Action Employer 10 % owner 25 % owner 65 % owner 10% owner 90% owner Laila Mehlum Ole Toft Ole Bech Gitte Hector Michael Ferslev Birgitte Krohn Lynn Salisbury 17.82 % 17.82 % 17.82 % 18.12 % 17.82 % 0.3 % 0.3% Belize Laos Laos Laos Belize Mexico Belize d. On March 11th, 2015 amended license applications were received that declared the ownership of USAgain LLC. as: Mattias Wallander USAgain Holdings, LLC 10 % 90 % USAgain Holdings LLC. USAgain Holdings (BVI) LTO 100 % USAgain Holdings (BVI) LTO Laila Mehlum Ole Toft Ole Bech Gitte Hector Michael Ferslev Gold Coast Oversees 19.8 % owner 19.8 % owner 19.8 % owner 19.8 % owner 18.8% owner 1.0% Belize Laos Laos Laos Belize Gold Coast Oversees Birgitte Krohn Lynn Salisbury Gitte Hector 33% 33% 33% Mexico Belize Laos th e. On March 20 , 2015 the City of Minneapolis requested USAgain LLC. to disclose the names of the corporate officers for each of the companies involved in its ownership, and when they became involved in the company. As of the date of this notice, no information regarding the identity of the company officers, for any level of the company has been provided. f. Prior to obtaining commercial donation collection bin licenses from the Minneapolis City Council, U5Again LLC. management placed at least three commercial donation collection bins in the City without approval. At least two of those bins were placed on public pedestrian sidewalk areas where such placement would not be permitted. g. On June 25th, 2015 amended license applications were received that declared the ownership of USAgain LLC. as: Mattias Anders Wallander USAgain Holdings LLC. 10 % owner 90 % owner USAgain Holdings LLC. USAgain Holdings (BVI) LTD 100% USAgain Holdings (BVI) LTD Laila Mehlum ale Toft Aderson ale Bech Birgitte Hector Nielsen Michael Ferslev Gold Coast Overseas 17.82 % owner 17.82 % owner 17.82 % owner 17.82 % owner 17.82 % owner 1.00 % owner Belize Laos. Laos Laos Belize 33 % owner 33 % owner 33 % owner Mexico Belize Laos Gold Coast Oversees Birgitte Krohn Lynn Sally Sailsbury Birgitte Hector Nielsen 2. The license application materials as submitted failed to disclose that at the time of application and up until 12-31-14, TS Recycling, Inc. owned 65% of USAgain, LLC. This is recorded on the USAgain LLC record of certificates issued and transferred. No information was provided to indicate the ownership structure or member identity of TS Recycling, LLC. 3. Janis Bostic was declared to be an owner of USAgain, LLC. on the license applications submitted th th to the City of Minneapolis on November 8 , 2014 and January 8 , 2015. That disclosure conflicts with the record of certificates issued and transferred for USAgain, LLC. as that record indicates that Janis Bostic transferred her ownership units to USAgain Holdings, LLC. on December 31, 2014. 4. On February 12, 2015 a meeting was held with USAgain LLC representatives in the Minneapolis License Department offices. Representing USAgain LLC were Sheila Caplis, legal counsel; Melissa Rahn, Government Relations Specialist, and Greg Nelson, Manager. Representing the City of Minneapolis were Grant Wilson, Business License Department Manager, and Joel Fussy, legal counsel. During this meeting a lengthy discussion was held where multi-layer corporate disclosure issues were discussed, including application submission requirements. 5. On March 4, 2015 the Division of Licenses and Consumer Services issued a letter to USAgain LLC notifying them that their City of Minneapolis business license applications for donation collection bins have been deemed incomplete and the applications will be denied as allowed by Minneapolis code of ordinances chapter 259.130. 6. On April 20, 2015 a notice was issued to USAgain LLC indicating that City of Minneapolis staff was making a recommendation to the City Council that the donation collection bin license applications submitted by USAgain LLC be denied on the grounds that false information was provided on business license applications; failure to provide information about the true owner and officers of the various companies in charge of the license applicant company; and placing collection bins in the city of Minneapolis without a license; and placing bins on the public right of way. The applicant company was offered an opportunity to have this matter reviewed at an evidentiary hearing before an administrative hearing officer. On April 30, 2015 Legal counsel for USAgain LLC contacted the City of Minneapolis and asked to discuss the recommendation to deny the license applications. 7. On May 15, 2015 a meeting was held in the Minneapolis City Attorney's Office with USAgain LLC legal counsel. Representing the City of Minneapolis were Joel Fussy, Assistant City Attorney; and Grant Wilson Manager ofthe Minneapolis Business License Department. Representing USAgain, LLC were attorneys Erik Newmark and Jeff Storms. Topics discussed during this meeting included the various license application submissions to do date, the discrepancies related to the use of partial or alias owner names on the applications, and the connections of these declared owners to international fugitives wanted by Interpol on behalf of the country of Denmark. 8. A background investigation of the various company owners declared in the license application has found that USAgain, LLC is associated with international fugitives wanted in Denmark for aggravated embezzlement and aggravated tax evasion. The international fugitives are the top leaders of a highly organized group known as the Tvind Teachers Group. The five fugitives wanted by Interpol on behalf ofthe Country of Denmark are listed below: Mogens Amdi Petersen Kirsten Larsen Christie Pipps (aka Kirsten Fuglsbjerg) Marlene Gunst Sten Byrner Some of the owners of USAgain LLC and its related companies have been found to associate and conduct business transactions with the fugitives listed above in the following Transactions: Mattias Anders Wallander: Mr. Wallander is a self-proclaimed member ofthe Tvind Teachers Group. (https://www.youtube.com/watch?v=2dbRhCLNKT8).Mr. Wallander has been a leader in "Planet Aid" which is a Tvind Teachers Group non-profit organization that also places donation collection bins in the United States. Mr. Wallander has been a member and teacher at the Tvind Teachers Group school known as IICD. Mr. Wallander has been a co-owner of USAgain LLC with Janice Bostic for many years, and also shares a residence with her. USAgain LLC's original signing members are listed as Anne Hansen, Poul Jorgensen, Mattias Wallander, and Janice Bostic. Janice Bostic: Janice Bostic is a founding member of USAgain LLC. She has associated with fugitive Christie Pipps by notarizing her signature on Feb. 20, 1998 at the same time she notarized the signature of her husband and business partner Michael (Lutz) Hermann. Also signing that same document under the same notary seal was Anne Hansen. A notation on the form by Janice Bostic indicated that she knows these individuals personally. Lynn Sailsbury: Lynn Sailsbury was the registering agent of corporate documents in the state of Florida on April 6, 2003, for AS Properties LTD. Co. Fellow corporate officers included fugitive Christie Pipps, and also Anne Hansen. The listed prinCipal place of business address of 1175,NE 125'h Street, North Miami, Florida, is the same principal place of business address of Bostic Business Consultants, Inc. a Florida corporation whose officers include Janice Bostic and Michael (Lutz) Hermann. Birgitte Krohn: Owner of USAgain LLC., Director of Fairbank, Cooper and Lyle, Board Member of Institute for Research and Applied Science (IFAS), a teachers fund non-profit research organization named in the Danish investigation document of 2001 known as the public prosecutors case summary exhibit 3. Birgitte Krohn was named in the Danish investigation as a Trustee of the Hobbhouse Trust and the Farmers Trust along with fugitive Kirsten Larsen. Also named as a trustee in these two trusts was Anne Hansen. Anne Hansen: Anne Hansen, although not a current listed owner of USAgain LLC or its affiliate ownership groups on the Minneapolis business license applications, she is affiliated with Tvind Teachers Group fugitives and with USAgain LLC owners Birgitte Krohn as they were directors of Chilton Intervest Corp., a British Virgin Islands Company.Anne Hansen was also affiliated with USAgain LLC owners Birgitte Krohn and ale Bech as co-directors of Fairbank, Cooper and Lyle LTD, and Floresta Jatoba LTD of Brazil, who claim to be owners of USAgain LLC. Anne Hansen was President of TS Recycling, Inc. in 1999 when USAgain LLC was originally formed. TS Recycling, Inc. at that time owned 65% of USAgain LLC. Gitte Hector IBirgitte Hector Nielsen): Birgitte Hector Nielsen is an owner of USAgain LLC and has been the chairperson of a Tvind Teachers Group organization known as the Institute for Research and Applied Science (IFAS). The Danish Police investigation documents named Birgitte Hector Nielsen as the Chairperson of IFAS and further has shown that fugitive Mogens Amdi Pedersen managed IFAS. IFAS leased a ship named "Return of Marco Polo" from a company owned by B & B Shipping which is owned by fugitive Sten Byrner. Fairbank. Cooper & Lyle. LTD: A September 16, 2014 family tree document prepared by Dun & Bradstreet, Inc. for Fairbank Cooper and Lyle, LTD indicates that they own TS Recycling Inc., which has the same business address of 1555 West Hawthorne Lane in West Chicago, Ill., as does USAgain LLC. The Minneapolis business license application submitted by USAgain LLC did not declare that TS , recycling, Inc. was an owner, however, this corporation name did appear, as an owner of USAgain LLC on the ownership transaction log until December 31,2014. Applicant name discrepancies: Applicant owner name as it appeared on Application Actual name Mattias Wallander Gitte Hector Ole Toft Anders Mattias Wallander Birgitte Hector Nielsen ale Toft Andersen (The license application materials submitted on June 25 th , 2015 indicated the actual names) This matter is now being referred to the City Attorney for possible adverse license action. Adverse License Hearings take place before an administrative hearing officer. Adverse license action includes, but is not limited to, denial of an initial license application, nonrenewal of business licenses, license suspensions, administrative fines, or further business license operating conditions. You may consider the following options in regard to the adverse license hearing. 1. Withdraw your pending license applications. 2. You may opt to have the entire case be presented to an administrative Hearing Officer for an evidentiary hearing. The Minneapolis City Council would still determine if any adverse license action should be taken. Please contact me at 612-673-3902, or by email at grant.wilson@minneapolismn.gov on your decision regarding the options listed above. If we do not get a response by July 31, 2014, this matter will be referred to an administrative Hearing Officer for an evidentiary hearing. Cc. Newmark-Storms